Best Questions to Ask a Property Manager Before Hiring
Not all property managers are created equally. So, if you’re looking to hire one, you should certainly do your due diligence. After all, they will be managing a very valuable asset on your behalf.
So, when you are looking to hire a property management company, it's important to know what to ask them. This is why, we at Alltrade Property Management, have put together this list of important questions that all property managers should be able to answer.
How do you Select Prospective Renters?
A great property management company should have a mechanism for vetting potential tenants. So, when you ask them about how they select their renters consider the following:
- Does the manager perform background checks and credit checks?
- Do prospective renters need to complete a rental application?
- Does the manager confirm past employment?
- How about getting in touch with former landlords?
You should also know who has the final say in whether a renter is approved or not.
How Often Are Tenants Evicted?
Knowing the number of doors managed compared to where evictions occurred is a fair measure of how thoroughly the management business screens its tenants.
An inadequate tenant screening process by the property management business may cause tenants to be evicted or leave early.
What Are Your Property Management Fees?
It is crucial to inquire about the cost the property management company charges. Paying too much or too little could indicate that you aren't getting the greatest service, so avoid doing either.
Do they only take a cut of the rental profits, or do they have a set fee? Knowing which choice, they charge would be beneficial given that each has a unique set of benefits and drawbacks depending on the situation. In this method, you can pick a business that offers you a cost-effective solution
Are You a Licensed Real Estate Broker?
Working with a certified property management company is essential for your protection and the protection of your tenant. It is imperative to inquire about this as they might not promote whether or not they have a license.
How Frequently do you Conduct Inspections?
You could find yourself in serious legal jeopardy if a property is discovered to have safety concerns after a tenant or customer has been hurt.
So, make sure your property manager conducts safety inspections on a regular basis to safeguard your renters and, by implication, you.
How Long Will It Take to Find a Good Tenant?
You don't want your home to be unoccupied for an extended period, but you also don't want just anyone inside. Before you sign any contracts, find out from your company if they have a timeline for locating a suitable tenant and how effectively they communicate with a tenant.
How Will My Property Be Marketed?
You want to work with a business that can attract a large pool of potential tenants to your property. So, they should have an effective marketing plan. Inquire about their marketing strategy to find out if they are doing everything possible to draw attention to your property.
How is the Rent for Each Property Calculated?
In order to determine how much to charge for rent, the right property manager should be able to conduct a comparative market analysis of all other listings nearby. In addition, they should consider any special features of your rental property, such as a pool or an upgraded kitchen.
How are you Going to Keep Me Updated?
It's crucial to monitor the development of your property. So, you must ensure that your property manager has a trustworthy and effective method of providing you with updates on the condition of your investment whenever you need them.
Most good property management companies will provide you with financial reporting and assistance during tax season.
Are There any Additional Fees?
There are many requirements that must be satisfied in order to operate a rental property effectively. In this case, property managers may occasionally charge for additional services. Evictions, unoccupied units, maintenance, tenant placement, and other supplementary services may be among them.
How Long Have You Been in Business?
Of course, should look to hire a professional with experience. Hiring a property manager who has only recently started working in the industry is a risk, so try to find someone who has been in the industry for at least four years.
What Kind of Insurance Coverage do you Have?
Property managers must have insurance of some kind, additionally, property managers in North Carolina need to have a real estate license. Consult your state's requirements and only interview prospective property managers who possess these credentials.
What Would Happen if I Terminated the Agreement?
Always be sure to thoroughly grasp your alternatives before entering into any form of contract. Verify that you accept and feel at ease with the contract's conditions.
So, you should know how to terminate the contract without paying additional fees if you are dissatisfied with the property manager.
Since no two properties are alike, we at Alltrade Property Management offer full-service property management solutions tailored to each asset's particular requirements and the preferences of each of our clients. We are dedicated to providing distinctive property management solutions to your distinctive circumstances using the breadth of our knowledge and resources.
Contact us today for more information on our expert property management services!